2 November 2023

Must have Checking Account Features

By Moses Enang

Must have Checking Account Features – As you go on the journey of personal finance, one of the things to consider is a checking account as it has the capacity to help your finances in a number of ways beginning from comfort, monetary safety, leverage for financial management in unique ways.

In this article, we will consider a few things you should look out for in opening a Checking account. Top 4 Advantages of Online Banking

Must have Checking Account Features:

Discover the must-have checking account features. Learn what to look for to manage your finances effectively below.

1. Bonuses:

You should consider the fact that some banks give out bonuses on a checking account. In some cases, at the point of opening an account, some banks give you a bonus that others would not. Sometimes, these bonuses come with conditions while some of them do not. You should check out this feature before you decide to open a checking account.

2. Deposits:

Upon opening a checking account, you should consider the feature it has in the aspect of deposits. Some checking accounts give you different ways you can deposit funds. Also, when you use direct deposit, you have the opportunity to drastically reduce the risk of stolen or lost checks.

As a feature on some checking accounts, some banks give early direct deposit. This means that you will be able to have direct and early access to funds must more than you would have if you went ahead with traditional direct deposits.

READ ALSO: Types Of Bank Accounts

3. Access to ATM:

ATM access is one of the things people take into consideration when opening a new checking account. Some checking accounts come with the bank’s ATM network and some other perks attach. Aside from the convenience that comes with ATMs, when you use in-network ATMs, it might also help you to bypass some fees that come along with using out-of-network ATMs. Some banks offer a level of free or reduced rates to those customers who use their own in-network ATMs and this can save you some fees when you place it in juxtapose to out-of-network ATMs.

Considering the fact that many ATMs allow you to deposit and withdraw funds anytime you want or need it, this should be a feature you look earnestly for when opening a checking account.

4. Security:

One of the reasons why we keep our money in the bank is for security reasons and this is what you ought to place in top priority when you are looking at a checking account. When you have a checking account, you are not putting your funds in a lockbox or safe, rather, you are putting it with a bank that can be accountable for same.

You should ensure that your account is covered by the FDIC, as this would help your money to be in safe hands even in the case of the closure of the financial institution.

5. Money Management:

When you open an account, most times what some banks do is that they give you support with your account through their Online banking systems such as their mobile app. Through the mobile app, you would be able to monitor your spending progress, save as much as you can while keeping tabs on your finances, and have an eye on what you have left in your account so that you can make better financial decisions. In the case where the online tool of the financial institution has an inbuilt autosave tool, it would help you to automatically save up a percentage of your earnings and would ensure that you are not out of cash when you need it the most. You can also leverage this feature to put a threshold on your budget for essentials such as transportation, entertainment and housing.

READ ALSO: Top 4 Advantages of Online Banking

6. Protection of Overdraft:

Most banks ensure that there is protection against overdrafts alongside their checking account. However, this protection is often optional and it allows the customers to give out a backup account which resources can be drawn in the case where there are insufficient funds to meet a need.

This feature usually comes with mild financial implications and with it, transactions that would have normally been declined as a result of insufficient funds would usually go through.

7. Automatic Payment of Bills:

When you open a checking account, you should be able to ensure that you would be able to set up a system where you can pay certain bills automatically. Most banks have this feature. It allows you to pay a bill on time based on schedule and in a way, helps to avoid the case of overlook or forgetting to pay a bill. When you automate your bill payment systems you will realize that certain funds you pay to banks as a result of late payment will be avoided and you’ll save up some more money in the long run.

Conclusion:

In summary, there are a lot of features you have to look out for when opening a checking account and in this article as have looked at about seven of them. However, it is advised that you compare costs between banks, and consult a financial expert before taking a step to open a checking account.